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Paul Merrell

Rapid - Press Releases - EUROPA - 0 views

  • The Commission found that Intel engaged in two specific forms of illegal practice. First, Intel gave wholly or partially hidden rebates to computer manufacturers on condition that they bought all, or almost all, their x86 CPUs from Intel. Intel also made direct payments to a major retailer on condition it stock only computers with Intel x86 CPUs. Such rebates and payments effectively prevented customers - and ultimately consumers - from choosing alternative products. Second, Intel made direct payments to computer manufacturers to halt or delay the launch of specific products containing competitors’ x86 CPUs and to limit the sales channels available to these products.
  • Intel awarded major computer manufacturers rebates on condition that they purchased all or almost all of their supplies, at least in certain defined segments, from Intel: Intel gave rebates to computer manufacturer A from December 2002 to December 2005 conditional on this manufacturer purchasing exclusively Intel CPUs Intel gave rebates to computer manufacturer B from November 2002 to May 2005 conditional on this manufacturer purchasing no less than 95% of its CPU needs for its business desktop computers from Intel (the remaining 5% that computer manufacturer B could purchase from rival chip maker AMD was then subject to further restrictive conditions set out below) Intel gave rebates to computer manufacturer C from October 2002 to November 2005 conditional on this manufacturer purchasing no less than 80% of its CPU needs for its desktop and notebook computers from Intel Intel gave rebates to computer manufacturer D in 2007 conditional on this manufacturer purchasing its CPU needs for its notebook computers exclusively from Intel.
  • Furthermore, Intel made payments to major retailer Media Saturn Holding from October 2002 to December 2007 on condition that it exclusively sold Intel-based PCs in all countries in which Media Saturn Holding is active.
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  • In its decision, the Commission does not object to rebates in themselves but to the conditions Intel attached to those rebates.
  • Intel structured its pricing policy to ensure that a computer manufacturer which opted to buy AMD CPUs for that part of its needs that was open to competition would consequently lose the rebate (or a large part of it) that Intel provided for the much greater part of its needs for which the computer manufacturer had no choice but to buy from Intel. The computer manufacturer would therefore have to pay Intel a higher price for each of the units supplied for which the computer manufacturer had no alternative but to buy from Intel. In other words, should a computer manufacturer fail to purchase virtually all its x86 CPU requirements from Intel, it would forego the possibility of obtaining a significant rebate on any of its very high volumes of Intel purchases. Moreover, in order to be able to compete with the Intel rebates, for the part of the computer manufacturers' supplies that was up for grabs, a competitor that was just as efficient as Intel would have had to offer a price for its CPUs lower than its costs of producing those CPUs, even if the average price of its CPUs was lower than that of Intel.
  • For example, rival chip manufacturer AMD offered one million free CPUs to one particular computer manufacturer. If the computer manufacturer had accepted all of these, it would have lost Intel's rebate on its many millions of remaining CPU purchases, and would have been worse off overall simply for having accepted this highly competitive offer. In the end, the computer manufacturer took only 160,000 CPUs for free.
  • Intel also interfered directly in the relations between computer manufacturers and AMD. Intel awarded computer manufacturers payments - unrelated to any particular purchases from Intel - on condition that these computer manufacturers postponed or cancelled the launch of specific AMD-based products and/or put restrictions on the distribution of specific AMD-based products. The Commission found that these payments had the potential effect of preventing products for which there was a consumer demand from coming to the market. The Commission found the following specific cases: For the 5% of computer manufacturer B’s business that was not subject to the conditional rebate outlined above, Intel made further payments to computer manufacturer B provided that this manufacturer : sold AMD-based business desktops only to small and medium enterprises sold AMD-based business desktops only via direct distribution channels (as opposed to through distributors) and postponed the launch of its first AMD-based business desktop in Europe by 6 months. Intel made payments to computer manufacturer E provided that this manufacturer postponed the launch of an AMD-based notebook from September 2003 to January 2004. Before the conditional rebate to computer manufacturer D outlined above, Intel made payments to this manufacturer provided that it postponed the launch of AMD-based notebooks from September 2006 to the end of 2006.
  • The Commission obtained proof of the existence of many of the conditions found to be illegal in the antitrust decision even though they were not made explicit in Intel’s contracts. Such proof is based on a broad range of contemporaneous evidence such as e-mails obtained inter alia from unannounced on-site inspections, in responses to formal requests for information and in a number of formal statements made to the Commission by the other companies concerned. In addition, there is evidence that Intel had sought to conceal the conditions associated with its payments.
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    This is an uncharacteristically strong press release from DG Competition. I still must read the order, but the description of the evidence is incredible, particularly the finding of concealment of its rebate conditions by Intel.
Paul Merrell

Google Chrome Listening In To Your Room Shows The Importance Of Privacy Defense In Depth - 0 views

  • Yesterday, news broke that Google has been stealth downloading audio listeners onto every computer that runs Chrome, and transmits audio data back to Google. Effectively, this means that Google had taken itself the right to listen to every conversation in every room that runs Chrome somewhere, without any kind of consent from the people eavesdropped on. In official statements, Google shrugged off the practice with what amounts to “we can do that”.It looked like just another bug report. "When I start Chromium, it downloads something." Followed by strange status information that notably included the lines "Microphone: Yes" and "Audio Capture Allowed: Yes".
  • Without consent, Google’s code had downloaded a black box of code that – according to itself – had turned on the microphone and was actively listening to your room.A brief explanation of the Open-source / Free-software philosophy is needed here. When you’re installing a version of GNU/Linux like Debian or Ubuntu onto a fresh computer, thousands of really smart people have analyzed every line of human-readable source code before that operating system was built into computer-executable binary code, to make it common and open knowledge what the machine actually does instead of trusting corporate statements on what it’s supposed to be doing. Therefore, you don’t install black boxes onto a Debian or Ubuntu system; you use software repositories that have gone through this source-code audit-then-build process. Maintainers of operating systems like Debian and Ubuntu use many so-called “upstreams” of source code to build the final product.Chromium, the open-source version of Google Chrome, had abused its position as trusted upstream to insert lines of source code that bypassed this audit-then-build process, and which downloaded and installed a black box of unverifiable executable code directly onto computers, essentially rendering them compromised. We don’t know and can’t know what this black box does. But we see reports that the microphone has been activated, and that Chromium considers audio capture permitted.
  • This was supposedly to enable the “Ok, Google” behavior – that when you say certain words, a search function is activated. Certainly a useful feature. Certainly something that enables eavesdropping of every conversation in the entire room, too.Obviously, your own computer isn’t the one to analyze the actual search command. Google’s servers do. Which means that your computer had been stealth configured to send what was being said in your room to somebody else, to a private company in another country, without your consent or knowledge, an audio transmission triggered by… an unknown and unverifiable set of conditions.Google had two responses to this. The first was to introduce a practically-undocumented switch to opt out of this behavior, which is not a fix: the default install will still wiretap your room without your consent, unless you opt out, and more importantly, know that you need to opt out, which is nowhere a reasonable requirement. But the second was more of an official statement following technical discussions on Hacker News and other places. That official statement amounted to three parts (paraphrased, of course):
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  • 1) Yes, we’re downloading and installing a wiretapping black-box to your computer. But we’re not actually activating it. We did take advantage of our position as trusted upstream to stealth-insert code into open-source software that installed this black box onto millions of computers, but we would never abuse the same trust in the same way to insert code that activates the eavesdropping-blackbox we already downloaded and installed onto your computer without your consent or knowledge. You can look at the code as it looks right now to see that the code doesn’t do this right now.2) Yes, Chromium is bypassing the entire source code auditing process by downloading a pre-built black box onto people’s computers. But that’s not something we care about, really. We’re concerned with building Google Chrome, the product from Google. As part of that, we provide the source code for others to package if they like. Anybody who uses our code for their own purpose takes responsibility for it. When this happens in a Debian installation, it is not Google Chrome’s behavior, this is Debian Chromium’s behavior. It’s Debian’s responsibility entirely.3) Yes, we deliberately hid this listening module from the users, but that’s because we consider this behavior to be part of the basic Google Chrome experience. We don’t want to show all modules that we install ourselves.
  • If you think this is an excusable and responsible statement, raise your hand now.Now, it should be noted that this was Chromium, the open-source version of Chrome. If somebody downloads the Google product Google Chrome, as in the prepackaged binary, you don’t even get a theoretical choice. You’re already downloading a black box from a vendor. In Google Chrome, this is all included from the start.This episode highlights the need for hard, not soft, switches to all devices – webcams, microphones – that can be used for surveillance. A software on/off switch for a webcam is no longer enough, a hard shield in front of the lens is required. A software on/off switch for a microphone is no longer enough, a physical switch that breaks its electrical connection is required. That’s how you defend against this in depth.
  • Of course, people were quick to downplay the alarm. “It only listens when you say ‘Ok, Google’.” (Ok, so how does it know to start listening just before I’m about to say ‘Ok, Google?’) “It’s no big deal.” (A company stealth installs an audio listener that listens to every room in the world it can, and transmits audio data to the mothership when it encounters an unknown, possibly individually tailored, list of keywords – and it’s no big deal!?) “You can opt out. It’s in the Terms of Service.” (No. Just no. This is not something that is the slightest amount of permissible just because it’s hidden in legalese.) “It’s opt-in. It won’t really listen unless you check that box.” (Perhaps. We don’t know, Google just downloaded a black box onto my computer. And it may not be the same black box as was downloaded onto yours. )Early last decade, privacy activists practically yelled and screamed that the NSA’s taps of various points of the Internet and telecom networks had the technical potential for enormous abuse against privacy. Everybody else dismissed those points as basically tinfoilhattery – until the Snowden files came out, and it was revealed that precisely everybody involved had abused their technical capability for invasion of privacy as far as was possible.Perhaps it would be wise to not repeat that exact mistake. Nobody, and I really mean nobody, is to be trusted with a technical capability to listen to every room in the world, with listening profiles customizable at the identified-individual level, on the mere basis of “trust us”.
  • Privacy remains your own responsibility.
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    And of course, Google would never succumb to a subpoena requiring it to turn over the audio stream to the NSA. The Tor Browser just keeps looking better and better. https://www.torproject.org/projects/torbrowser.html.en
Gonzalo San Gil, PhD.

AT&T Is Happy To Remove Wireless Broadband Caps, But Only If You Sign Up For Its TV Ser... - 1 views

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    " According to a new company announcement, customers who sign up for both AT&T wireless service and AT&T U-Verse TV or DirecTV service can nab unlimited data for $100 per month, plus $40 per month for each additional device:"
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